Latest column: Is There One Model to Rule Them All?: The recent shake-up at the research department of the Federal Reserve Bank of Minneapolis has rekindled a discussion about the best macroeconomic model to use as a guide for policymakers. Should we use modern New Keynesian models that perform...

The big reason to make a deal before January 1, 2013 was that detonating the "austerity bomb" would impose 3.5% of fiscal contraction on the U.S. economy in 2013, and send the U.S. into renewed recession. It was worth making a good-enough deal--sensible long-run revenue increases and tax cuts to ...

Language Log, in a discussion of "usage fetishes," takes on the question of "data are" versus "data is": ... Copy editors are meant to be gnomes working invisibly below decks to ensure that the engine of prose runs smoothly. They shouldn’t obtrude themselves conspicuously into the middle of a c...

You are aware that Prof. deLong is highly enough respected as an independent economist and thinker that he doesn't need to follow anyone else's opinion, especially those of lesser caliber than himself.

"Chained-CPI" is code for "let's really impoverish some women in their 90s!" It's a bad policy. It should be off the table. Failing to extend the payroll tax cut is bad policy. It should be off the table. Failing to boost infrastructure spending is bad policy. It should be off the table. This dea...

Usually, when your question is asked it is quickly dismissed with the talking point "Social Security was never meant to be the only source of retirement income." Of course it doesn't address the reality of your question.

"Chained-CPI" is code for "let's really impoverish some women in their 90s!" It's a bad policy. It should be off the table. Failing to extend the payroll tax cut is bad policy. It should be off the table. Failing to boost infrastructure spending is bad policy. It should be off the table. This dea...

Everyone uses a one time example. It seems to me that the effect on SS benefits is cumulative (based on last year's SS) but the computation of the CPI reduction (based on this year's comparison) for the chained CPI is not. What happens when there are no more choices of cheaper?

"Chained-CPI" is code for "let's really impoverish some women in their 90s!" It's a bad policy. It should be off the table. Failing to extend the payroll tax cut is bad policy. It should be off the table. Failing to boost infrastructure spending is bad policy. It should be off the table. This dea...